This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Dividend.com: GD Spins on Axsys

General Dynamics Division to Buy Axsys Technologies for $643 Million

One of General Dynamics' (GD - Get Report) units will buy optical and infrared specialist Axsys Technologies (AXYS) for $643 million the two companies announced Thursday.

General Dynamics Advanced Information Systems, a unit of General Dynamics that specializes in defense systems, will purchase Axsys for $54 per share, which represents a paltry 8% premium over Axsys' Wednesday closing price of $50 per share. The acquisition is expected to close in the third quarter of this year and both companies' boards have already approved the deal. General Dynamics expects the deal to add to its earnings beginning in 2010; its shares fell 43 cents or 0.7%, in morning trading Thursday.

We removed shares of General Dynamics from our "recommended" list back on May 15 when the stock was trading at $55.84. The company has a dividend yield of 2.59% based on last night's closing stock price of $58.59.

The stock has technical support in the $48 to $52 price area. If the shares can firm up, we see overhead resistance around the $60 to $63 price levels. We would remain on the sidelines, but we do watch this former recommendation very closely. General Dynamics holds a Dividend.com DARS Rating of 3.4 out of 5 stars.

Intel Buying Wind River Systems in $884 Million Deal

Chip-making giant Intel (INTC - Get Report) said Thursday that it will acquire device software optimization experts Wind River (WIND) in a deal valued at $884 million.

Intel said it will acquire all of Wind River's outstanding shares at a price of $11.50 each, representing a healthy 44% premium over the company's Wednesday closing price of $8 per share. Wind River makes development software that helps companies like Intel write and test software for various devices.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
BHP $46.44 0.00%
CIEN $21.46 0.00%
GD $131.27 0.00%
INTC $32.47 0.00%
AAPL $124.75 0.00%

Markets

DOW 17,826.30 -279.47 -1.54%
S&P 500 2,081.18 -23.81 -1.13%
NASDAQ 4,931.8150 -75.9760 -1.52%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs